Manila, Philippines --- (METERING.COM) --- March 18, 2010 - The Philippines regulator, the Energy Regulatory Commission (ERC) has released draft rules for a feed-in tariff for renewable energy projects.
The rules are intended to provide the regulatory framework for the implementation of the feed-in tariff, and are aimed at promoting and encouraging the deployment of energy from sources including solar, wind, ocean, run-of-river hydroelectric power, biomass, and the renewable energy components of hybrid systems.
The draft rules provide that technology-specific feed-in tariffs shall be approved by the ERC based on petition by the National Renewable Energy Board (NREB). Initially they will have a duration of 15 years and be subject to a degression rate to be determined by the ERC.
The feed-in tariffs will be paid by electricity consumers connected to the transmission or distribution networks through a uniform PhP/kWh charge to be known as the FIT Allowance (FIT-All), the implementation of which is similar to that of the present universal charge. This FIT-All in turn will be established and set by the ERC on an annual basis upon petition by the National Grid Corporation of the Philippines (NGCP), which is tasked with the settlement and payment of the feed-in tariffs for the eligible renewable plants.
“The ERC is working double time to put in place the regulatory framework for the successful implementation of the feed-in tariff system. With this in place, we hope to hasten the development of renewable energy resources, address the long term electricity requirements of the country, and help preserve Mother Earth,” said ERC chairperson Zenaida G. Cruz-Ducut.
The draft rules are now subject to public consultation.